Title Insurance 101

What is Title Insurance? What is Escrow?

What is Title?

In Real Estate, title means a Right to Ownership, or a document stating a Right to Ownership.

Title Hazards

Various kinds of claims can “cloud” a title. Some examples are:

Relatives or heirs with superseding claims

Fraud or misrepresentation

Liens

Easements

IRS claims

Keeping it safe

The way for you to protect your interest in a Real Estate transaction is obtain the services of a title company.

What will the Title Insurance Company do for me?

Trained personnel will perform a title search to verify ownership and to identify any possible “clouds” on title. The result will show if the seller has the right to sell, indicated by ownership, and indicated any problems; ie: Liens, etc., that need to be resolved or acknowledged by the buyer before transfer of property.

Title Insurance

Next, the title insurance company will insure the new owner against the possibility of error or forgery in the transfer of title. This is the transfer of title. This insurance is in effect for the duration of ownership.
Title Insurance is paid one time. Two separate policies are issued:
Owners Policy – Protects the new owner in any subsequent claims to the property.
Lenders Policy – Protects the lender against loss of unpaid loan balance in the event of a claim.

What is Escrow?

Escrow is a service in which a neutral party handles documents and monies, related to the Real Estate transaction for a fee. In escrow, all parties involved give their instructions to the escrow company which holds all kinds of documents until these instructions are completed.

Why do I need Escrow?

Whether you are the buyer or the seller, you want assurance that no funds or property will exchange hands until all instructions have been followed. Escrow will guarantee this.

The Escrow Instructions

Read the instructions carefully and make sure that they are accurate and complete. Any questions should be directed to the escrow officer. And remember, when you have a legal question, ask an attorney.

It’s Time to Close…

When all instructions of all parties to the escrow have been carried out the closing can take place. All funds are collected and all costs are paid. Title is then transferred. If you have any questions on title insurance, please contact Integrated Title Services.

Contact Us

Quick Links

Integrated Title Services is committed to redefining the title and escrow industry by creating an elite closing experience that brings an environment of repeat and referral business for our clients and will always uphold the following standards:
We believe in our moral obligation to always protect all parties.
We are solution makers and provide peace of mind with unparalleled satisfaction.
We believe in educating and growing others.
We always give back and support our community.
We believe in our TEAM and are committed to growth.
We inspire those around us to excel while leading by example.